What Comes First? Divorce or Bankruptcy?
Sometimes life throws a curveball at you. Such is the case if you are facing divorce and bankruptcy at the same time. If this describes you, it is vital to know which action comes first. Should you file for divorce right away? Or, should you wait until after you succeed in declaring bankruptcy?
Noted Baltimore County Maryland bankruptcy attorney, the Law Offices of Kim Parker can answer these questions for you. If you are in this situation now, call us right away.
On Divorce and Bankruptcy
Sometimes there is no real need for filing bankruptcy. In these instances, as an effort to get out of any financial obligations from a pending divorce; filing a bankruptcy is a gateway. Sometimes they file for bankruptcy separately, other times it is a joint effort. The filing fees are the same either way.
Filing for bankruptcy immediately before divorce affects the distribution of property and financial assets. You must let your Maryland bankruptcy lawyer know about your upcoming divorce.
What Comes First? Divorce or Bankruptcy
It depends on if you have legal grounds to file for bankruptcy. If you are genuinely in debt, filing for bankruptcy before your divorce may be prudent. It can affect court-awarded alimony and/or child support payments going forward.
On the other hand, if the opposing attorney can prove you are only filing for bankruptcy as a ploy to avoid these payments and other obligations, the opposing attorney may legally negate your bankruptcy case. You would need the best Maryland bankruptcy attorney on your side.
What is a Bankruptcy Means Test?
It is a method of determining who can file for debt elimination via a Chapter 7 bankruptcy proceeding. For this method, the involved attorney will look at your income, your expenses, and the size of your family.
The idea behind this test is to legally determine if you have enough viable income to repay any debts you have incurred. An experienced Chapter 7 bankruptcy attorney Baltimore Maryland can help you if you are encountering such a test.
Using Bankruptcy to Protect the Marital Home in a Divorce
If this is a concern to you, it is best to go with a Chapter 13 bankruptcy filing. This type of bankruptcy will let you keep your home, even in the event of a pending divorce. If you are also behind on your home payments, Chapter 13 will still enable you to keep your home.
Even the most carefully drafted marital settlement agreement is still subject to its crash by a successful bankruptcy case outcome. If this is what you are hoping for, you would need an experienced Baltimore Maryland bankruptcy attorney who can ensure everything goes your way in such a case.
How Divorce Affects Your Bankruptcy Declaration
Divorce can definitely impact your bankruptcy case. Amongst the areas it touches are your debts and expenses, your property rights, and quite often your income. These are all important aspects of a bankruptcy case.
You need a bankruptcy attorney Baltimore MD attorney who understands completely how you should handle a pending divorce and how it will affect your bankruptcy case.
It can make repaying your debt more difficult, even with the option of a Chapter 13 bankruptcy being sought by yourself and your attorney. There are additional difficulties you will encounter along the way. Be sure to have your lawyer explain these to you.
If you must declare bankruptcy during a divorce, you should avoid the Chapter 13 variety. This prudent advice comes from a Baltimore Chapter 13 bankruptcy attorney.
How Can a Maryland Bankruptcy Lawyer Help You?
A Maryland bankruptcy lawyer knows all the appropriate laws and procedures inside and out. Ensuring that you have the best representation possible. The bankruptcy lawyers in the Law Offices of Kim Parker are ready to help you. There is no need for you to suffer dealing with divorce and bankruptcy alone. Give us a call right away!